Hub Group Q3 2024 Update: Financials & Operations

TL;DR

HUBG Q3 24: Financials look solid, logistics segment performing well. Watch those equipment notes.

AI Summary

Hub Group, Inc. filed its 10-Q for the period ending September 30, 2024. The filing details financial performance and operational updates. Key financial data points and business segments like Logistics are highlighted, alongside information on debt instruments such as Equipment Notes due in 2024, 2028, and 2029.

Why It Matters

This filing provides investors with a crucial update on Hub Group's financial health and strategic direction for the third quarter of 2024, impacting investment decisions.

Risk Assessment

Risk Level: medium — The filing contains detailed financial information, including debt obligations and segment performance, which can indicate potential financial risks or opportunities.

Key Numbers

• 20240930 — Reporting Period End Date (Indicates the specific quarter the financial data pertains to.)
• 20241101 — Filing Date (Shows when the report was officially submitted to the SEC.)

Key Players & Entities

• Hub Group, Inc. (company) — Filer of the 10-Q
• 20240930 (date) — End of reporting period
• 20241101 (date) — Filing date
• ForwardAirFinalMileAcquisitionMember (company) — Acquisition related entity
• LogisticsMember (business_segment) — Key business segment
• EquipmentNoteDueTwoThousandTwentyNineMember (debt_instrument) — Debt obligation
• EquipmentNotesCommencingOnTwoThousandTwentyFourMember (debt_instrument) — Debt obligation
• EquipmenntNoteDueTwoThousandTwentyEightMember (debt_instrument) — Debt obligation

FAQ

Filing Documents

• hubg-20240930.htm (10-Q) — 1600KB
• hubg-ex31_1.htm (EX-31.1) — 14KB
• hubg-ex31_2.htm (EX-31.2) — 14KB
• hubg-ex32_1.htm (EX-32.1) — 7KB
• 0000950170-24-120064.txt ( ) — 5810KB
• hubg-20240930.xsd (EX-101.SCH) — 858KB
• hubg-20240930_htm.xml (XML) — 859KB

Financial Information

PART I. Financial Information 3

Financial Statements

Item 1. Financial Statements Condensed Consolidated Balance Sheets – September 30, 2024 (unaudited) and December 31, 2023 3 Unaudited Condensed Consolidated Statements of Income and Comprehensive Income – Three and Nine Months Ended September 30, 2024 and 2023 4 Unaudited Condensed Consolidated Statements of Stockholders' Equity – Three and Nine Months Ended September 30, 2024 and 2023 5 Unaudited Condensed Consolidated Statements of Cash Flows – Nine Months Ended September 30, 2024 and 2023 6 Notes to Unaudited Condensed Consolidated Financial Statements 7

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 13

Quantitative and Qualitative Disclosures about Market Risk

Item 3. Quantitative and Qualitative Disclosures about Market Risk 19

Controls and Procedures

Item 4. Controls and Procedures 19

Other Information

PART II. Other Information 20

Legal Proceedings

Item 1. Legal Proceedings 20

Risk Factors

Item 1A. Risk Factors 20

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 20

Defaults Upon Senior Securities

Item 3. Defaults Upon Senior Securities 20

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 20

Other Information

Item 5. Other Information 20

Exhibits

Item 6. Exhibits 21 2 P ART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements HUB GROUP, INC. CONDENSED C ONSOLIDATED BALANCE SHEETS (in thousands, except share amounts) September 30, December 31, 2024 2023 ASSETS (unaudited) CURRENT ASSETS: Cash and cash equivalents $ 186,139 $ 187,270 Accounts receivable trade, net 576,352 600,197 Accounts receivable other 5,683 3,358 Prepaid taxes 11,026 17,331 Prepaid expenses and other current assets 26,196 41,089 TOTAL CURRENT ASSETS 805,396 849,245 Restricted investments 21,342 20,763 Property and equipment, net 741,753 791,692 Right-of-use assets - operating leases 228,137 210,742 Right-of-use assets - financing leases 1,226 2,522 Other intangibles, net 240,162 304,607 Goodwill 772,542 733,695 Other non-current assets 22,567 22,781 TOTAL ASSETS $ 2,833,125 $ 2,936,047 LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES: Accounts payable trade $ 305,838 $ 349,378 Accounts payable other 28,636 14,471 Accrued payroll 34,442 21,731 Accrued other 105,638 121,253 Lease liability - operating leases 42,853 44,690 Lease liability - financing leases 656 1,579 Current portion of long-term debt 99,850 105,108 TOTAL CURRENT LIABILITIES 617,913 658,210 Long-term debt 187,240 245,574 Other non-current liabilities 54,939 55,287 Lease liability - operating leases 193,851 177,699 Lease liability - financing leases 498 865 Deferred taxes 152,414 163,767 STOCKHOLDERS' EQUITY: Preferred stock, $ .01 par value; 2,000,000 shares authorized; no shares issued or outstanding in 2024 and 2023. - - Common stock Class A: $ .01 par value; 97,337,700 shares authorized; 72,303,228 shares issued in 2024 and 75,524,189 shares issued in 2023; 60,818,637 shares outstanding in 2024 and 62,200,921 shares outstanding in 2023. 723 755 Class B: $ .01 par value; 662,300 shares authorized; 574,903

View Full Filing

View this 10-Q filing on SEC EDGAR